Petroleum Prices will also Rise on 1 Mar 2022

 

OGRA indicates price hike from 1 Mar, while salaries of the employees will also increase from Mar 2022

Oil and Gas Regulatory Authority (OGRA) indicated rise in petroleum products prices from 1 March 2022 due to devaluation of the currency and extraordinary rise in global oil prices as well.

According to Dawn, in the statement before the National Assembly's Standing Committee on Energy (Petroleum Division), OGRA Chairman Masroor Khan has said that the situation is clear, as there is no precedent for increase in international oil prices since the last 12 weeks.

Masroor Khan said that the rupee has also depreciated sharply against the dollar.

He said that government is receiving levy on petroleum as Rs 14 per liter, while general sales tax is zero.

Chairman OGRA said that the fund generated into the government treasury is being affected.

Committee Chairman questioned from Chairman OGRA regarding effects on petroleum prices in Pakistan due to situation of Russia and Ukraine. Chairman OGRA answered, “You can guess the answer from the current situation; burden falls over the public after rising of international prices.

While briefing the committee by Secretary Petroleum Ali Raza Bhutta on Pakistan Stream Gas Pipeline, he informed that talks with Russia on pipeline have been completed.

Russia will also invest and lay a pipeline for which work will commence soon, he further said.

On the other hand, Federal government employees of grade 1 to 19 will receive disparity allowance from 1 March 2021, except the employees who are already receiving additional allowances.

In this regard, Federal government has notified 15 percent increase to the employee upto Grade 19 as disparity reduction allowance (DRA). This allowance will be given to the employees, who are less privileged.

The government had announced DRA earlier this month after a sit-in called by employees to protest against government for failing to provide promised special allowance.

Federal government had also recommended that provincial governments should provide similar relief to their employees from their own sources.

Ministry of Finance had stated that the allowance would apply to all civil servants of the federal government, including employees of the federal secretariat, affiliated departments and subordinate offices who have never received additional allowance or performance allowance or allowances equal to or more than basic salary.

DRA will also be frozen at the level of 1 Mar 2021 and it will be subject to income tax.

DRA will be acceptable during the leave and for the entire period of the last pay received but it will not be considered as compensation for calculation of pension and graduation and recovery of house rent.

This allowance will not be paid to employees deputed on duties or training abroad or deputation, however, they will be eligible on return the department.